Purpose: This loan provides financial assistance to farmers having Contract Broiler Farming arrangements. Construction of poultry shed, feed room and purchase of equipment etc.
Eligibility: Existing and new poultry farmers with experience and having undergone training in poultry farming, with adequate land and water resources or SHGs possessing land in the groups’ name with water sources can avail this loan. Tie-up arrangements with hatcheries required for supply of broiler chicks, free of cost inputs, buy back arrangements with pre-determined rates.
Quantum of Loan: Up to a maximum of Rs.9 lakhs, depending upon the size of the farm, in multiples of 1000 birds is granted as loan.
Margin: There is a margin of 25% for this personal loan.
Repayment: The repayment has to be done in 30 bi-monthly installments within a total period of 5 years with a grace period of 6 months.
Security: Hypothecation of assets created by Bank finance serves as the primary security and mortgage of land and shed including other infrastructure available to cover total value of the loan forms the collateral security.
Other Documents Required: Insuranceis optional for birds. But shed should be insured. Tie-up Agreement Letter between farmer/ SHG and hatchery/ company also has to be produced at the time of loan application.